Audit 101: Part 3 of a Series
At Circulation Verification Council, we take pride in producing the most thorough and informative audits in the industry. By The Numbers' Audit 101 series is designed to provide a detailed, line-by-line explanation of every paragraph of our audit so that publishers and media buyers get the most out of the data.
Paragraph 5: Audited Circulation, Distribution and Net Press Averages – Print Edition,
Paragraph 5 contains a critical circulation figure: average net circulation. Here, we'll explain how we arrive at this figure as we break down the distribution figures in Paragraph 5 line by line.
In the top left section of Paragraph 5, you will find the CVC account number for the audited edition. To the right, you'll find the edition name and the city and state of the physical address of the edition.
AUDIT PERIOD SUMMARY
Average Net Circulation
The average net circulation is the final audited circulation number for a publication. The average net circulation number is calculated from the total gross distribution (5-F) minus returns or unclaimed copies from all returnable distribution sources (5-G). The same number is also found at the bottom of Paragraph 5, line H.
Average Gross Distribution
Average gross distribution is the total average controlled distribution (5-C), plus the total average paid distribution (5-D), plus the total average sponsored/voluntary paid distribution (5-E). The average gross distribution number is also reported in Paragraph 5, line F.
Average Net Press Run
The average net press run is the total average number of usable editions printed each edition cycle during the audit period. The average net press run does not include press waste or start-up copies, but only editions that are usable by the publisher during the edition cycle. The number is reported in Paragraph 5, line A.
AUDIT PERIOD DETAIL
Lines A through H of Paragraph 5 document how CVC arrives at the audit period summary figures mentioned above: average net circulation, average gross distribution and average net press run.
A. Average Net Press Run
The average net press run is the total average number of usable editions printed each edition cycle during the audit period. The average net press run does not include press waste or start-up copies, but only editions that are usable by the publisher during the edition cycle.
B.Office/File
Office and file copies are undistributed copies used internally for tear sheets, sales kits, permanent libraries and other in-house uses. Office and file copies represent the difference between the average gross distribution and the average net press run.
C. Controlled Distribution
Controlled distribution refers to unpaid copies distributed by the publisher. There are several methods of controlled distribution that are listed on an audit, and described below.
C1. Home Delivery
Home delivery represents the CVC-audited unpaid editions delivered by private employee or independent carrier to delivery addresses, which can include single-family homes, multi-family homes and businesses.
C2. Controlled Bulk Delivery/Demand Distribution
Controlled bulk delivery, also called demand distribution, represents the CVC-audited number of unpaid editions delivered in bulk to news racks and area businesses. These editions are then available to individuals to pick up free of charge should they choose to read the publication. This number is the gross number of editions distributed to these sources and is subject to unclaimed/returns reporting in Paragraph 5-G.
C3. Mail
These are unpaid editions of a publication that are delivered by the postal service to addresses, which can include single-family homes, multi-family homes and businesses.
C4. Restock and Office Service
Restock and office service refers to the number of reserve copies held back from the initial distribution in order to restock unpaid news racks, area businesses, and for use by the publication's staff for distribution throughout the edition cycle. This number is the gross number of editions potentially distributed to these sources and is subject to unclaimed/returns reporting in Paragraph 5-G.
C5. Other
This section is used to highlight additional unpaid distribution types used by the publication. This most often includes distribution through Newspapers in Education, conferences and trade shows, community events, hotels, and other distribution types unique to that publication. This number is the gross number of editions potentially distributed to these sources and is subject to unclaimed/returns reporting in Paragraph 5-G.
Total Average Controlled Distribution
Total average controlled distribution is the sum of the average number of controlled distributed copies as described in lines C-1 through C-5.
D. Paid Distribution
Paid distribution reflects editions distributed by the publisher for which money was exchanged between the reader and the publisher. Methods of distributing paid editions are the same as methods used for controlled distribution. One notable difference is that paid distribution copies that are sold from news racks or businesses are categorized as single-copy distributed copies, as opposed to controlled bulk delivery editions that are available free of charge. See section C-1 through C-5 for definitions.
Total Average Paid Distribution
Total average paid distribution is the sum of the average number of paid distributed copies as described in lines D-1 through D-5.
E.Sponsored/Voluntary Paid Distribution
The distribution of sponsored distribution editions are paid for by a third party. Typically sponsored editions are those that are delivered to a certain demographic or geographic class that an advertiser requests. Newspapers In Education copies are often listed in this section if an advertiser or patron has funded the copies for schools.
Voluntary paid distribution copies are most often reported in the single-copy and home-delivered categories and are paid for by the reader, but payment is not required to receive the edition. Many publications report in this category for controlled publications with voluntary paid home-delivery programs to offset delivery costs, or single-copy news racks with coin tubes for voluntary payment.
Methods of distributing sponsored and voluntary paid editions are the same as methods used for controlled distribution. One notable difference is that paid distribution copies that are sold from news racks and businesses are categorized as single-copy distributed copies, as opposed to controlled bulk delivery editions that are available free of charge. See section C-1 through C-5 for definitions.
Total Average Sponsored/Voluntary Paid Distribution
Total average sponsored and voluntary paid distribution is the sum of the average number of distributed copies as described in lines E-1 through E-5.
F. Average Gross Distribution
Average gross distribution is the total average controlled distribution (5-C), plus the total average paid distribution (5-D), plus the total average sponsored/voluntary paid distribution (5-E). This number is also reported in the audit period summary section at the top of Paragraph 5.
G. Unclaimed/Returns
This figure is the total average number of copies that are returned to the publisher, unclaimed or unsold from returnable distribution categories during the audit cycle. Returnable distribution categories include controlled bulk delivery, demand distribution, single-copy, some "other" distribution sources and restock and office service copies.
H. Average Net Circulation
The average net circulation is the final, CVC-audited circulation number for a publication. The average net circulation number is calculated from the total gross distribution (5-F) minus returns or unclaimed copies from all returnable distribution sources (5-G). This number is also reported in the audit period summary section at the top of Paragraph 5.
Don't miss the next issue of By The Numbers, where we’ll focus on Paragraph 6. Paragraph 6A reports the average visitors and page views from your publication's Web site. Paragraph 6B reports the total number of editions read online for publications that produce PDF's or other forms of online editions. This is a very important addition to CVC audits and an important issue you will not want to miss!
Missed the first two parts of our Audit 101 series? Read them now:
Audit 101: Paragraph 1 of Your CVC Publication Audit >>
Audit 101: Paragraph 2: Rate Card and Mechanical Data >>
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